That means that your router doesn't hand out DNS (or the client won't
overwrite the existing file) ... what does your /etc/resolv.conf look like?

Problem Fixed!
/var/log was missing.
I dont know why that caused the problem but it did.
Now pacman hangs running pacman -Syy.

pacman hang fixed! solution here:http://smeeze.homelinux.com/forum/vi...5&t=5&start=20